Southwest Airlines and American Airlines have increased their revenue forecasts for the fourth quarter due to strong demand and higher fares, resulting in a rise in their stock prices.

Southwest now expects a year-over-year unit revenue increase of 5.5% to 7%, up from the previous estimate of no more than 5.5%. The airline attributes this positive outlook to successful network adjustments and solid demand projections for the upcoming year, particularly during the holiday travel season.

American Airlines has also revised its expectations, projecting flat to up 1% unit revenue for the last quarter compared to the same period in 2023, a significant improvement from the earlier forecast of a decline of up to 3%. Additionally, the airline has increased its adjusted earnings estimate to a range of 55 to 75 cents per share, up from 25 to 50 cents. In a strategic move, American has chosen Citi as its exclusive credit-card provider, ending its partnership with Barclays.

Meanwhile, JetBlue Airways has also raised its revenue forecast and plans to streamline unprofitable routes while adjusting its summer 2025 Europe schedule.